February 26 2021
1. The property boom…
It was a super Saturday in Sydney with nearly nine out of every 10 Sydney homes that went to auction last weekend sold, pushing the city’s clearance rates up to fresh highs for the year. The Melbourne property market lost some momentum following this month’s snap lockdown. But private investors splashed out over $67 million on childcare centres, medical centres, petrol stations and fast food outlets at a commercial property auction in Melbourne on Wednesday! Reserves were smashed by 9% on average, with a clearance rate of 86%.
2. What a snap lockdown looks like..
Speaking of the Melbourne lockdown, interesting to see its impact on spending and eating out. Waiting to get updated CBA spending data, but seated diners were back out there as soon as they were allowed! And Australian household consumption continues its run higher.
3. JobKeeper end in sight…
We noted last week that JobKeeper is set to end come 31 March, and interesting to consider the impact this has on Australia’s relative unemployment benefit level. The base rate for unemployment and other benefits in Australia is being permanently lifted by $25/wk from 1 April but recipients will lose the $75/wk Coronavirus Supplement. This means Australia’s unemployment benefit will lift from the lowest to the 2nd lowest in the OECD, jumping above Greece.
Source: Grattan Institute, OECD.Stat and Macquarie Macro Strategy